Causes of Construction Claims in Active Ethiopian Road Administration (ERA) Road Projects
No Thumbnail Available
Date
2022-06
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Addis Ababa University
Abstract
The research determined the most frequent cause of claims in federal road construction projects in the intention to reduce likelihood of occurrence of claims. The research has identified 35 causes of claims and categorised them in to five. The study has adopted a descriptive research design with quantitative research approach and in order to achieve the objective of the study the research have used primary data collection though a valid and reliable questionnaire survey. Consequently, questionnaires were distributed to consultants/employers’ representative/, Employer/ERA/ and contractors which are involved in federal road construction projects which have progressed 70% and above, this is done in order to find various claim causes. Relative importance index was used to determine the most important factor/causes/ causing claims, each factor was ranked from their category and as a whole. The research finding shows from the whole ranking the most significant/frequent/ causes that contributed to the generation of claims are variations between original and actual quantities, unpredictable change in material price, interference from stakeholders (beneficiaries, local community, and authorities), unforeseeable ground conditions by all parties, delay in completion of the work, respectively are the top 5 underlying (root) causes of claims under the research scope. The study recommended practitioners to have defined scope of work, providing appropriate price escalation, increasing the contingency of project, avoid one sided clause in contract document, timely handling over the site, timely evaluation of claims, carefully manage cash flows by contractors and legal and technical counsel before entering the contract.
Keyword: Project, Claim, Ethiopian Road Administration/ERA/, Relative Importance index